NEW DELHI: A day after Prime Minister Narendra Modi urged the country to use transport fuel judiciously, the Informal Group of Ministers (IGoM) on West Asia said there is no shortage of any petroleum product in the country.
The IGoM also informed that India has 60 days of crude oil reserves, 60 days of natural gas and 45 days of LPG rolling stock. The country’s foreign exchange reserves stand at a comfortable $703 billion.
However, the group also warned that the nation is bearing a huge cost as international crude prices continue to remain at very high levels. According to the government, India’s oil marketing companies (OMCs) have absorbed losses of close to Rs 1,000 crore a day, with under-recoveries estimated at nearly Rs 2 lakh crore in Q1 FY27, so that the burden of soaring global oil prices is not passed on to consumers.
India is the world’s third-largest oil refiner and fourth-largest exporter of petroleum products, exporting to over 150 countries while fully meeting domestic demand. On May 11, 2026, Prime Minister Narendra Modi had urged citizens to reduce petrol and diesel consumption by using metros and public transport, opting for carpooling, and avoiding unnecessary foreign travel. He also encouraged people to prefer domestic tourism and celebrations within India and avoid non-essential gold purchases for one year.
The Prime Minister further urged farmers to reduce chemical fertiliser usage by 50 per cent, move towards natural farming practices, protect soil health and reduce import dependence. He also advocated wider adoption of solar-powered irrigation pumps instead of diesel pumps in agriculture.
The group was formed to monitor the crisis arising out of the conflict in West Asia. The meeting was attended by Chemicals and Fertilisers Minister Jagat Prakash Nadda, Petroleum and Natural Gas Minister Hardeep Singh Puri, Railways and Information Technology Minister Ashwini Vaishnaw, Parliamentary Affairs Minister Kiren Rijiju, Civil Aviation Minister Kinjarapu Rammohan Naidu, Ports and Shipping Minister Sarbananda Sonowal and other senior officials.
Meanwhile, according to Petroleum Ministry sources, OMC (Oil Marketing Companies) losses may cross Rs 1 lakh crore in Q1 FY27 if current crude price levels persist. Petrol, diesel and LPG (Liquified Petroleum Gas) under-recoveries are projected at around Rs 2 lakh crore during the quarter, and the government is reviewing the situation regularly.
“Review is being carried out on all fronts, including pricing. The government has compensated OMCs in the past and financial support may be provided at an appropriate time,” a Petroleum Ministry official said.
